Am I doing SQM QoS right? Please check

Installing and Using OpenWrt
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I am on Openwrt latest
Device Xiaomi 3g v1

I have a PPOE connection. So, is my selection right?

Also, for some reason with SQM, my vpn that I use on my devices are slow. Why is this?

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For pppoe connectoins, I would instantiate SQM on pppoe-wan, but the wan port should work as well...
What is the output of the following commands run on your router's command line?

  1. cat /etc/config/sqm
  2. tc -s qdisc

No hypothesis yet, so how are you doing this. Are you running the VPN client on your computer and just pipe it through the router? How many computers are in your network and do you have things like torrent clients running on some hosts?